Abstract

We extend the task-based empirical framework used in the job polarization literature to analyze the susceptibility of low-wage employment to technological substitution. We nd that increases in the cost of low-wage labor (via minimum wage hikes) lead to relative employment declines at cognitively routine occupations but not manuallyroutine or non-routine low-wage occupations. This suggests that low-wage routine cognitive tasks are susceptible to technological substitution. While the short-run em

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